Alert Health 24 Limited - Limited company accounts 23.1

REGISTERED NUMBER: 09348521 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 30 September 2022

for

Alert Health 24 Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Cash Flow Statement

14

Notes to the Cash Flow Statement

15

Notes to the Financial Statements

16

DIRECTORS:

C Coyle

Ms A Coyle

S P Churches

P Groves

SECRETARY:

C Coyle

REGISTERED OFFICE:

Pure Offices

Pastures Avenue

St Georges

Weston-Super-Mare

BS22 7SB

REGISTERED NUMBER:

09348521 (England and Wales)

AUDITORS:

Evolve Accounting and Tax Solutions Limited

Statutory Auditors

2nd Floor Congress House

14 Lyon Road

Harrow

Middlesex

HA1 2EN

The directors present their strategic report for the year ended 30 September 2022.

The Board aims to present a balanced and comprehensive review of the development and performance of the Company's business during the period and its position at the period end. The review is consistent with the size and nature of the business and is written in the context of the risks and uncertainties that the company faces.

PRINCIPAL ACTIVITIES

The principal activity of the Company in the year under review was that of a business specialising in the placement and management of nursing and ancillary staff.

REVIEW OF BUSINESS

The Board considers that the Company has had a successful period of trading, showing an increase in turnover, gross profit, and profitability.

The Board monitors the Company's performance through the use of a variety of measurements, both financial and non-financial in order to maintain effective control over the business. The most important of these are known as key performance indicators (KPIs). The main financial KPIs that the Company monitors are turnover, gross profit and gross margin % and these are set out below.

2022

2021

2020

Turnover

£5,336,542

£1,252,919

£558,309

Turnover movement

£4,083,623

£694,610

N/a

Gross profit margin

31.85%

29.45%

33.54%

Profit before tax

17.26%

1.65%

-0.81%

The turnover of the Company increased by 326% year on year, amounting to £5,336,542 (2021: 124% to £1,252,919).

The Company's focus is to deliver market leading care services throughout the UK by delivering best value and ensuring all staff are trained, engaged, and inducted. Quality is ensured by rigorous recruitment processes coupled with ongoing learning and development. Attracting and developing suitable and well-trained healthcare professionals continues to be a priority for the business.

PRINCIPAL RISKS AND UNCERTAINTIES

The Board takes a conservative approach to risk and financial stability leaving investment in the business to allow the business to expand and grow.

The Company's focus is to deliver market leading care services throughout the UK by delivery best value and ensuring all staff are trained, engaged and inducted into the philosophy of Alert Health 24 Limited. Quality is ensured by rigorous recruitment processes coupled with ongoing learning and development programmes. Failure to meet the standards set could jeopardise the revenues of the business.

The Company's maximum exposure to credit risk in relation to financial assets is represented by trade and other receivables.

The Company's policy on liquidity risk is to ensure that sufficient cash is available to fund ongoing operations. The Company principally funds its operations through a combination of retained earnings and invoice finance facilities to ensure it has adequate funds to meet future working capital requirements. The invoice finance facilities provide the flexibility to support the Company through any significant changes in business size if needed. The Board is confident these facilities provide adequate finance for future growth.

The Company has policies in place to mitigate the potential impact of these financial risks including, but not limited to the following:

- Where appropriate, credit checks are made prior to the appointment of a new customer, and these are reviewed on a periodic basis together with ongoing checks in respect of existing customers. Weekly reviews of the debtor ledger are carried out with the finance and sales teams and action initiated, as appropriate, to collect any overdue amounts, thus ensuring that the Company's strong liquidity position is sustained.

- The Company has considerable financial resources together with long-term contracts with several customers. Consequently, the directors believe that the company is well placed to manage its business risk successfully.

It is not considered necessary for an understanding of the development, performance, or position of the Company's business to comment here on environmental matters, the entity's employees or social, community and human rights issues. However, the company is very much aware and respectful of such matters and takes them in to account when planning and implementing business policy and procedures.

ON BEHALF OF THE BOARD:

C Coyle - Director

22 June 2023

The directors present their report with the financial statements of the company for the year ended 30 September 2022.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the provision of recruitment services to the healthcare sector.

DIVIDENDS

No interim dividend was paid during the year. The directors recommend a final dividend of £3,351.05 per share.

The total distribution of dividends for the year ended 30 September 2022 will be £ 335,105 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1 October 2021 to the date of this report.

C Coyle

Ms A Coyle

S P Churches

Other changes in directors holding office are as follows:

P Groves was appointed as a director after 30 September 2022 but prior to the date of this report.

C Walsh ceased to be a director after 30 September 2022 but prior to the date of this report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Evolve Accounting and Tax Solutions Limited, were appointed during the year and will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

C Coyle - Director

22 June 2023

Opinion

We have audited the financial statements of Alert Health 24 Limited (the 'company') for the year ended 30 September 2022 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 September 2022 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Identifying and responding to risks of material misstatement due to fraud

To identify risks of material misstatement due to fraud ('fraud risks') we assessed events and conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud.

Our risk assessment procedures included:

- Enquiring of directors and inspection of policy documentation at the company's high level policies and procedures to prevent and detect fraud including the company's channel for whistle blowing as well as whether they have knowledge of any actual or alleged fraud.

- Reading board minutes

- Considering remuneration incentive schemes and performance targets

- Using analytical procedures to identify any unusual or unexpected relationships

We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit.

As required by auditing standards, and taking into account possible pressures to meet profit targets, we performed procedures to address the risk of management override of controls, in particular the risk that management may be in a position to make inappropriate accounting entries.

We did not identify any additional fraud risks.

We performed procedures including identifying journal entries and other adjustments to test based on risk criteria and comparing the identified entries to supporting documentation. These included unusual journals posted to cash and borrowing accounts.

Identifying and responding to risks of material misstatement due to non compliance with laws and regulations.

We identified areas of laws and regulations that could be reasonably expected to have a material effect on the financial statements from more general commercial sector experience and through discussion with the directors and other management (as required by auditing standards) and from inspection of the company's regulatory and legal correspondence and discussed with the directors and other management for policies and procedures regarding compliance with laws and regulations.

We communicated identified laws and regulations throughout our audit team and remained alert to any indications of noncompliance throughout the audit.

The potential effect of these laws and regulations on the financial statements varies considerably.

The company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related parties legislation), distributable profits legislation and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

Whilst the company is subject to many other laws and regulations, we did not identify any others where the consequences of non compliance alone could have a material effect on amounts or disclosures in their financial statements.

Context of the ability of the audit to detect fraud or breaches of law or regulation

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we may have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it.

In addition, as with any audit, there remained a higher risk of non detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing noncompliance or fraud and cannot be expected to detect noncompliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Paul O'Rourke FCA (Senior Statutory Auditor)

for and on behalf of Evolve Accounting and Tax Solutions Limited

Statutory Auditors

2nd Floor Congress House

14 Lyon Road

Harrow

Middlesex

HA1 2EN

22 June 2023

Evolve Accounting and Tax Solutions Limited

TURNOVER

5,336,542

1,252,919

Cost of sales

3,636,556

883,872

GROSS PROFIT

1,699,986

369,047

Administrative expenses

783,140

357,132

916,846

11,915

Other operating income

3

4,100

7,812

OPERATING PROFIT and

PROFIT BEFORE TAXATION

920,946

19,727

Tax on profit

6

175,487

3,045

PROFIT FOR THE FINANCIAL YEAR

745,459

16,682

PROFIT FOR THE YEAR

745,459

16,682

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

745,459

16,682

FIXED ASSETS

Tangible assets

8

843

1,124

CURRENT ASSETS

Debtors

9

1,075,769

288,966

Prepayments and accrued income

14,383

11,192

Cash at bank

73,394

216,457

1,163,546

516,615

CREDITORS

Amounts falling due within one year

10

723,727

476,965

NET CURRENT ASSETS

439,819

39,650

TOTAL ASSETS LESS CURRENT LIABILITIES

440,662

40,774

CREDITORS

Amounts falling due after more than one year

11

27,459

37,925

NET ASSETS

413,203

2,849

CAPITAL AND RESERVES

Called up share capital

15

100

100

Retained earnings

16

413,103

2,749

SHAREHOLDERS' FUNDS

413,203

2,849

The financial statements were approved by the Board of Directors and authorised for issue on 22 June 2023 and were signed on its behalf by:

C Coyle - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 October 2020

100

(4,521

)

(4,421

)

Changes in equity

Dividends

-

(9,412

)

(9,412

)

Total comprehensive income

-

16,682

16,682

Balance at 30 September 2021

100

2,749

2,849

Changes in equity

Dividends

-

(335,105

)

(335,105

)

Total comprehensive income

-

745,459

745,459

Balance at 30 September 2022

100

413,103

413,203

Cash flows from operating activities

Cash generated from operations

1

316,650

(102,030

)

Tax paid

(3,046

)

-

Net cash from operating activities

313,604

(102,030

)

Cash flows from investing activities

Purchase of tangible fixed assets

-

(1,499

)

Net cash from investing activities

-

(1,499

)

Cash flows from financing activities

Loan repayments in year

(10,000

)

(2,500

)

Increase in other loans received

13,809

198,130

Decrease in group company creditors

(125,371

)

128,167

Equity dividends paid

(335,105

)

(9,412

)

Net cash from financing activities

(456,667

)

314,385

(Decrease)/increase in cash and cash equivalents

(143,063

)

210,856

Cash and cash equivalents at beginning of year

2

216,457

5,601

Cash and cash equivalents at end of year

2

73,394

216,457

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.9.22

30.9.21

£

£

Profit before taxation

920,946

19,727

Depreciation charges

281

375

921,227

20,102

Increase in trade and other debtors

(789,994

)

(190,153

)

Increase in trade and other creditors

185,417

68,021

Cash generated from operations

316,650

(102,030

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30 September 2022

30.9.22

1.10.21

£

£

Cash and cash equivalents

73,394

216,457

Year ended 30 September 2021

30.9.21

1.10.20

£

£

Cash and cash equivalents

216,457

5,601

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.10.21

Cash flow

At 30.9.22

£

£

£

Net cash

Cash at bank

216,457

(143,063

)

73,394

216,457

(143,063

)

73,394

Debt

Debts falling due within 1 year

(207,705

)

(14,275

)

(221,980

)

Debts falling due after 1 year

(37,925

)

10,466

(27,459

)

(245,630

)

(3,809

)

(249,439

)

Total

(29,173

)

(146,872

)

(176,045

)

1.	STATUTORY INFORMATION

Alert Health 24 Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The company has the ongoing support of its holding company and other group companies. The directors believe that the company is able to meet its working capital requirements for a period of at least one year from the approval of these accounts. The company has adequate finance in place to enable it to take advantage of new business opportunities in the future. They therefore consider the company to be a going concern and have prepared accounts on this basis.

Turnover

Turnover comprises the invoiced value of services supplied by the company, net of vat. All revenue is recognised in the Financial Statements as soon as the service has been provided.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 25% on reducing balance.

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction cost. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors and loans are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are initially recognised at transaction price.

Invoice discounting

The company uses an invoice discounting service. As and when loans are drawn down, these amounts are secured on the trade debtors. Discounting charges and interest are charged to the profit and loss account to reflect the cost of borrowing.

Taxation

Current tax, including UK Corporation tax is provided at amounts expected to be paid using the tax rates and laws enacted by the Balance Sheet date.

Deferred tax is only provided for when material. The Directors have decided that deferred tax is not material this year, as was the case last year.

3.	OTHER OPERATING INCOME

30.9.22

30.9.21

£

£

R&D claims

4,100

2,507

Government grants

-

5,305

4,100

7,812

4.	EMPLOYEES AND DIRECTORS

30.9.22

30.9.21

£

£

Wages and salaries

546,357

222,308

Social security costs

42,367

17,218

588,724

239,526

The average number of employees during the year was as follows:

30.9.22

30.9.21

Sales

9

4

Administration

9

2

18

6

30.9.22

30.9.21

£

£

Directors' remuneration

45,000

44,167

5.	OPERATING PROFIT

The operating profit is stated after charging:

30.9.22

30.9.21

£

£

Depreciation - owned assets

281

375

Auditors' remuneration

4,000

3,500

Equipment leasing

1,804

439

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

30.9.22

30.9.21

£

£

Current tax:

UK corporation tax

175,487

3,045

Tax on profit

175,487

3,045

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

30.9.22

30.9.21

£

£

Profit before tax

920,946

19,727

Profit multiplied by the standard rate of corporation tax in the UK of 19% (2021 - 19%)

174,980

3,748

Effects of:

Expenses not deductible for tax purposes

454

356

Capital allowances in excess of depreciation

-

(213

)

Depreciation in excess of capital allowances

53

-

Utilisation of tax losses

-

(846

)

Total tax charge

175,487

3,045

7.

DIVIDENDS

30.9.22

30.9.21

£

£

Ordinary shares of £1 each

Final

335,105

9,412

8.	TANGIBLE FIXED ASSETS

Fixtures

and

fittings

£

COST

At 1 October 2021

and 30 September 2022

1,499

DEPRECIATION

At 1 October 2021

375

Charge for year

281

At 30 September 2022

656

NET BOOK VALUE

At 30 September 2022

843

At 30 September 2021

1,124

9.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.9.22

30.9.21

£

£

Trade debtors

1,069,597

288,045

Other debtors

6,172

921

1,075,769

288,966

10.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30.9.22

30.9.21

£

£

Bank loans and overdrafts (see note 12)

10,041

9,575

Other loans (see note 12)

211,939

198,130

Trade creditors

9,514

1,563

Amounts owed to group undertakings

24,978

150,349

Tax

175,486

3,045

Social security and other taxes

109,555

20,010

Other creditors

142,405

90,793

Accruals and deferred income

39,809

3,500

723,727

476,965

For details regarding amounts due to group companies see note 17, Related Party Disclosures.

11.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

30.9.22

30.9.21

£

£

Bank loans (see note 12)

27,459

37,925